We will be momentarily joined by senator cain and other members. We are, as you know in the midst of voting. I would like to welcome our witnesses to the hearing this afternoon. Mr. Frederik stephanie, principal, civilian deputy secretary. That is a mouthful. So, welcome mister secretary. Assistant secretary of the navy for research, development, and acquisition. Vice admirable william galina. Commander of naval command. Admiral troy mcclelland, Program Executive officer for Industrial Infrastructure, and ms. Diameter noah meijer were director of management for the government accounting office. Thank you for your service to the nation, and for the truly professional services that men and women under your command. I also want to recognize the Ranking Member senator kramer, i also want to recognize senator cain, and senator sullivan. And i appreciate all my colleagues willingness to hold this joint readiness hearing on this very important subject. We stand at a crossroads today. The nations shipyards are in dire need of modernization to ensure that we can maintain a Current Fleet and the fleet of the future. I am encouraged that the navy has, finally gotten serious about investing in this Critical Infrastructure that is been elected for too long. In hawaii, we are all proud of Pearl Harbor Naval shipyards contributions to our fleets readiness. And i want to be sure that the yard receives the resources and needs to keep our fleet in fighting shape. I look forward to hearing from you this afternoon about how the fiscal year 2023 budget supports this plan. The navy has begun a once in a Generation Program to modernize its shipyards under which the Shipyard Infrastructure optimization program, or psyop. This 20year program to prove the Shipyard Infrastructure, has been sorely neglected for many years, and we have to get it right. We are relying on the digital twin motley and simulation effort to develop the most efficient and productive lay out for air operations at the four Public Shipyards. And last year, for example, we had to add tonight 50 million to fund the dry dock at the Portsmouth Naval shipyard due to unexpected ballooning of the estimated cost. We need to understand what steps the navy has taken to ensure we have better cost estimates of the projects we are undertaking. And this will be important to ask the navy turns to the dry dock replacement at Pearl Harbor Naval shipyard. Which is the next dry dock to be constructed, and will require significant dredging and filling to extend the existing dry dock. We also need to understand how the navy is structuring the sigh of effort to improve with the efficiency of the shipyards to deal with the ship maintenance challenge that are facing the maybe today. Psyop is not unlimited just to dry docks, it also extends to optimizing the work of the shipyards through production, the citys and other improvements to misaligned configurations. And this is why i have been so focused on the waterfront Production Facility at pearl harbor. This project is important to the workforce there, and i want to ensure the navy remains committed to it. We need to be able to maintain the fleet that we have, if we are better each the fleet signs that the navy has identified as required, to respond to future threats. Psyops success is critical to that goal. And we want to help, and would ask the navy, to consider how the program could be accelerated. Without impacting availabilities. I look forward to hearing today how we can Work Together to ensure that scientists fully successful effort. Now i turn to senator graham or for his remarks. Thank you chairwoman her rotunno as well as general cain and Ranking Member sullivan for greene to hold this hearing jointly to discuss a range of important evil shipyard issues across our subcommittee jurisdictions. And lets face, it is not just the issue of the day, it is the issue of the day with the regard to the future of the navy. As i think about a Naval Shipyards, it is striking to me how intertwined they are with our nations history. In other words, theyre really old. Even before independence. For example, norfolk Naval Shipyard near endear to senator cains heart, of course, was first established in 67 under the british flag is Gosport Shipyard in seized six years later during the revolutionary war. Theres not even a senator that old anymore, is there . In the 17 90s, the u. S. Chesapeake one of the first six u. S. Navy ships authorized by congress was built there. Later, the first doc in the western hemisphere opened in 1833 known as dry docked one and now its a Historic National landmark and is still used today. Think about it, it is 189 years old and still used to maintain naval vessels. Suffice to say, our Public Shipyards all have storied histories and arch really national infrastructure. Each is over 100 years old and showing its age. The pork initiative of the shipyards, is having a serious negative effect on Flight Operations today. And the bill has come to. This is not a future problem, it is here now, and when we must Work Together to solve. So while there is a lot to discuss, and i appreciated chairwoman hironos opening comments and much of what she had to say, i plan to focus my question on how congress can help in terms of authorities workforce development, and funding. On the last point, im hopeful that the Bipartisan Group of senators working on the shipyard act, many of whom are in the room today, will be able to get it done. I look forward to testimony of our witnesses. Thank you madam chair. We thank you. Now i would like to turn to senator cain, the tournament chair of the readiness subcommittee. Senator cain. Thank you sharon. Thank you we this is really exciting, this joint meeting. And i want to thank you, chair owner thank the witnesses for being here today, and for dedicated service to the country. Youve got some Friendly Faces around the dais when it comes to support for our navy shipyards. But at the same time, the navy has some significant challenges on its hands regarding the implementation of psyop. Especially the ability, or inability to be on time and on budget. There is no doubt these are necessary investments. The condition of our shipyards both in terms of infrastructure and workforce, given the age of the shipyards as indicated by senator kramer, do require a lot of resources and support. We have to do our part here in congress. When we look at how the navy has executed sayah projects today, i have some concerns and i also see some positives. How do we ensure that the navy can even program the average of a billion dollars per year in budget request over the next 20 years . The dry docks replacement at portsmouth, that is the portsmouth in maine, not virginia, was originally estimated by the navy to cost 200 and 50 million. Then the cost doubled, that it increases either to new 50 million as a result of a sole source contract. So today, my particular interest in hearing from you is how we have implemented the Lessons Learned from that portsmouth for the rest of the sayah portfolio. It isnt all bad news. The navy has invested well over the statutorily required 6 Capital InvestmentProgram Since 2011. That is real positive. The work of the g. A. O. Has never been more important than it is today, so im glad to have miss moore here testifying again before the committee. I am looking forward to hearing her insights on how the navy can better execute construction projects, modernize its Capital Equipment, and otherwise optimize shipyard operations. So madam chair, thanks again for leading the charge on this hearing to discuss their shipyards in detail. Thank you, madam chair, i want to thank you and senator cain, and all of my colleagues for conducting this hearing, it is a very important hearing. And to senator kramers discussion of history, i actually it was just talking to senator hirono as we walked down to the vote on the latest movie, midway i dont know if anyone has seen that but it is quite a good movie. It has a scene where the shipyard that was in hawaii did a miraculous job of bringing the carrier of the yorktown back online to go fight in the battle of midway. It was decisive, the Shipyard Point about what senator kramer was talking about. History, really made history in that critical battle that was one of the most important and world war ii. One of the most important battles in our nations history. That is how important this topic of discussion is. As has already been noted, the average age of Naval Shipyard facilities is over 60 years old. The average dry dock age is approaching 100 years old. We have seen the readiness of shipyards weekend as decisions were made to prioritize shipbuilding over ship maintenance. When initially developed the Shipyard InfrastructureOptimization Plan had a bill of 21 billion over 20 years. That number has already increased in the last few years and that is a topic i hope we can discuss in detail today. Additionally, according to the g. A. O. The navy cannot currently complete all required maintenance for aircraft mare carriers and submarines with our existing dry dock capabilities. How can we balance these necessary Capital Investments with the existing Maintenance Requirements . I think we find ourselves in a challenging situation as it relates to operational demands, ship maintenance, and the conditions of the fleet. Not to mention the challenges in the indopacific leak theater and a look at where china is with regard to its ship building and maintenance capabilities. Another issue that i think impact the joint force is maintenance unconventionally powered ships. Delays of combatants escort Nuclear Aircraft carriers also impact resite readiness. I believe one option in that regard is to conduct lower Level Maintenance at smaller, private shipyards to free more space for more complex maintenance and overhauls at our larger, private shipyards. I hosted the secretary of the navy a couple of years ago to our shipyard in ketchikan, alaska, which has enormous capabilities and is looking to do a lot of work for the u. S. Coast guard. We have another shipyard in seward, alaska, that just completed almost 11 million worth of work on the u. S. And ask grasp. A navy rescue and salvage vessel. The work was delivered on time, on budget, and received outstanding feedback. This is an all hands on deck need. I think there are shipyards across america. Including in my states, that can participate and help out with regard to these challenges. Thank you, i look forward to hearing our witnesses. Thank you, senator sullivan, and i thank you for suggesting we all go to see the new midway movie because it really highlights the importance of our Public Shipyards. We will start this hearing by hearing from secretary stephanie first. Please proceed. Yes maam, thank you, i will be reading a statement from all three of us from the navy. Chairwoman hirono and chairman cain. Ranking members kramer and sullivan. Distinguished members of the subcommittee, on behalf of myself, vice admirable molinas, and admirable mcclellan we thank you for the opportunity to discuss the department of navys infrastructure optimization program. Better known as psyop. Modernized and ready shipyards are generators of fleet readiness and are the strength of our national security. We appreciate the strong support this committee, particularly the subcommittees have shown for our infrastructure optimization efforts today. We are committed to maintaining transparency throughout the planning and execution of the departments siop investments. This is a onceinacentury opportunity to revitalize our nations Public Shipyards, ensuring that these Critical National security facilities are properly positioned to meet current and future needs of the navy. It is about modernizing aging facilities, equipment, and dry docks that have served our fleet for generations. And, doing that modernization without disrupting our current maintenance that supports the readiness of todays fleet. We also need to upgrade these facilities and equipment to support new classes of ships such as the ford Aircraft Carriers and the virginia block five submarines. While at the same time making the shipyards more efficient and more effective at maintaining all of our ships. We need to bring them up to modern standards and ensure they are resilient to climate change, all of this will take years of consistent funding, construction, and leadership at all levels. Informed by complete future years defense program, they fiscal year 23 budget includes our strongest siop funding since the program was established. It includes 1. 7 billion dollars for the program, with a sustained commitment of four point. Sorry, 8. 3 billion dollars across its lifetime. The request it will support modernization of Capital Equipment and enable danced planning activities and required environmental assessments. They 23 funds will also label critical programs such as the start of the replacement of dried up three at pearl harbor in hawaii. And, the continuation of Multi Mission dry dock one in kid remain. And, dry dock eight salt Water Systems in portsmouth, virginia. As well as they planning for the Multi Mission dried off at grammar tin, washington. Multiple Navy Commands play key roles in planning and execution. For example, the Navy Facilities engineers system command builds and maintains the shipyards. The naval say Systems Command operates the shipyards. And, the commander of the naval installations hosts all of those activities. To ensure disciplined oversight while maintaining uninterrupted support to the fleet, the navys trading this as if it is a major defense acquisition program. We have established a Program Executive officer for Industrial Infrastructure late last year. We are developing and overall Acquisition Strategy, and we are developing individual master plans with cost, schedule, and Performance Measurements baselines for each of the shipyards to measure our progress as we go. We understand that for this to succeed we must properly planned and execute the work without impacting the shipyards ability to execute their mission. Balancing the needs with that of the fleet and the shipyards is, and will continue to be critical in a process involving all stakeholders. We are committed to working as a team to ensure the program is ruthlessly executed. To avoid in Flight Operations or ship maintenance periods. And, conversely, that ship maintenance availabilities do not impact downstream siop projects. We believe an improved governments combined with consistent funding will focus and accelerate this critical, long term initiative. It will enable the navy to sustain the Nuclear Powered warships that we have now, and the ones that we are building for the future fleet, strengthening maritime dominance and defense of our nation. With that, we look forward to your questions, thank you. Thank you, i would like to hear from mrs. Moral. Great, thank you very much, good afternoon, chairwoman hirono. Chairman cain, Ranking Members kramer and sullivan. It is good to be back before most subcommittees today. Over the past five years we have issued a series of reports on the infrastructure of the navys shipyards. The 37,000 skilled artisans who overhaul and repair carriers and submarines, often perform that work in facilities that are in poor condition, using conditions that are well past their expected service life. As was mentioned, the shipyards were built well over a century ago to repair wind and same pattern ships. Their layout is far from efficient to maintain Nuclear Power and vessels. Moving the people, equipment, and parts necessary to repair a submarine is like trying to drive a century old streets of boston. Perhaps most significantly, the navy does not have enough dry dock capacity to make the future nate maintenance needs of the fleet. In 2017 way found that the navy lacked a comprehensive plan for addressing these significant problems. The navy, to its credit, developed a program and in office to management, and kept Navy Leadership informed of its progress. In late 2019 we took an in depth look at the siop. We thought it was a decent first step, a series of plans to improve each of the shipyards. At that time the navy estimated it would take 20 years and spent about 21 billion dollars to implement its planned improvements. Way found that initial cost estimate was unrealistically low. Among other things, a 21 billion dollar price tag did not factor in inflation, and did not include the cost to improve underlying utilities. We recommended the navy improve its